The election has yielded a winner in Barack Obama
While we are pleased to begin a new chapter, we also acknowledge that there are substantial problems with the economy that must be resolved... soon! The markets are in bearish moods and investors continue to search for safe havens as gains from former years contract. The housing market continues to struggle, causing a ripple effect across the globe. It seems though that many people are hopeful that the change in US presidency will bring new hope to financial markets also... perhaps by the speedy passage and enactment of a second stimulus package.
Real estate sales news was a mixed bag last month. Although there were some sales volume gains, house prices continue to fall. Mortgages and, indeed, other types of credit are hard to come by, especially for larger loans. For those who need to refinance, or wish to purchase, the best loans may not be found at conventional lenders. FHA loans have replaced subprime loans, and loan modifications seem to be gaining some traction.
Portfolio lenders are the key in this market if you want a super jumbo loan. The secondary market, where MBS (Mortgage Backed Securities) are traded is still dysfunctional and jumbo loan rates are frozen with lenders who plan to sell their loans on the secondary market to Fannie or Freddie. Interest rates for loans larger that $729,750 for a one unit residence are running 10% with non-portfolio lenders. Fortunately there are alternatives!
We still have a number of portfolio lenders to work with. Since these lenders keep the loans they make, they can set different (and sometimes more lenient) underwriting guidelines. Since many are preferred lenders with us too, we can get their loans, loans where rates and fees are substantially lower.
Rates on mortgages this month are still volatile slightly. The bigger news is that although lenders have continued to tighten their standards for lending, some lenders are now offering stated income jumbo loans again. Plus, the rates for the new " conforming jumbo" loans have fallen since their April release by more than 1%. With over 250 lenders to shop among, we're glad to be able to continue offering the widest array of loans available anywhere... at the best rates available.
We do not advertise interest rates on this site because we do not rely upon misleading information in order to obtain new clients. The fact is, the interest rates you can get are part of a complex relationship between different elements of your unique situation.
That's why is pays to talk with an Avatara consultant! We know how to best present your scenario to lenders and negotiate on your behalf with our insider contacts to get you the perfect loans at excellent rates. For more information about the factors that determine your interest rate click here.
Click here to reach Data Quick, a website devoted to charting local real estate market data by zip code in California and other areas. This is an excellent place to research geographic property value trends. If you're thinking of buying it may help you analyze your potential return on investment.
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